Calif. Bank Execs Duck Securities Class Action

Law360, New York (May 17, 2011, 8:23 PM EDT) -- Former executives and directors of UCBH Holdings Inc. won their bid Tuesday to ditch a putative securities class action in California alleging they overvalued mortgage-backed loans before a subsidiary bank's collapse, but the investor plaintiffs may still amend their claims.

U.S. District Judge Jeffrey S. White dismissed the consolidated amended complaint, finding that while the investors had sufficiently alleged the materiality of the leadership's purported misstatements about United Commercial Bank's financial health, they had failed to bring enough specific allegations to back up their claim that...
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